Economists use assumptions in order to

A. make models more realistic.

B. simplify complex real-world behavior.

C. make their models fit the data.

D. avoid using mathematics.

B. simplify complex real-world behavior.

Economics

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Profit maximization

A) makes a firm become as large as possible. B) makes a firm remain small in the long run. C) increases the likelihood that a firm will survive. D) leads a firm to become the target of a takeover.

Economics

Refer to Figure 7-3. What is the value of domestic producer surplus without a quota?

A) $5 million B) $15.75 million C) $38.5 million D) $53.5 million

Economics